Birkenstock Shares Jump After Strong Earnings Beat, Raised Outlook

German footwear brand Birkenstock Holding plc (NYSE: BIRK) saw its shares surge in pre-market trading on Thursday after reporting fiscal second-quarter results that exceeded analyst expectations and raising its full-year guidance, citing robust product demand.

Birkenstock Reports Earnings Results, Outperforms Wall Street Expectations

For the quarter ended March 31, 2025, Birkenstock reported revenue of €574.3 million, representing a 19% year-over-year increase and surpassing analyst projections of €566.3 million.

Net profit rose significantly to €105.1 million from €71.7 million in the same period last year. The company’s strong performance was driven by continued high demand for its iconic footwear products across markets.

Following the better-than-expected results, Birkenstock raised its full-year adjusted EBITDA margin guidance to between 31.3% and 31.8%, up from the previous expectation of 30.8% to 31.3%. This new range implies adjusted EBITDA of €660 million to €670 million ($737.5-748.6 million) for fiscal 2025, representing a year-over-year increase of up to 21%.

The U.S.-listed company also indicated that constant-currency revenue growth is expected to come in toward the high end of its previously guided 15% to 17% range, reflecting confidence in sustained consumer demand for its products.

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Birkenstock Gains on Strong Quarterly Results

Birkenstock stock closed at $54.49 on Wednesday, up 0.76% for the day, before jumping to $57.25 in pre-market trading on Thursday, representing a 5.07% increase following the earnings announcement.

The stock carries a market capitalization of approximately $10.2 billion and trades at a trailing P/E ratio of 41.97. While Birkenstock has delivered a one-year return of 12.93%, slightly outperforming the S&P 500’s 12.31% gain over the same period, it remains down 3.83% year-to-date.

Analysts maintain an average price target of $67.21, suggesting potential upside from current levels.

Disclaimer: The author does not hold or have a position in any securities discussed in the article. All stock prices were quoted at the time of writing.